we may need may need we exceed forecast. we're looking at the risk management part of our line item to fund these unusual circumstances. >> and when was the last time that we weren't able to meet our needs? and i know that these rps standards are new, so, maybe we didn't have the same issues. >> we didn't have the same requirement. >> but have we been able to meet our needs with hetch hetchy with our parr? >> there have been times we had to meet short-term purchases in order to meet our needs. and maybe the best way to look at that is to again look at the first background slide i put up where you can see there are some years where a lot of our generation is considerably lower. you could tell that our retail sales pretty much track a wet year. not exactly, but in recent

years, sorry, they pretty much track a dry year. so, the dry year line you see on this slide here is about where our retail sales are or have been in the last 10 or so years. and, so, looking at these -- the tail end of this slide here, you can see although years we have plenty of power to cover our retail sales. >> so, one of the things this slide doesn't give you is sort of like that day to day sort of variation that happens. that's an annual sort of like slide. and when you look at it sort of by quarter or by month, great, you have lots of power in april, may, june, and you have very little in september, october, november. until the rain starts and the snow starts again. so, if there is a cycle that kind of goes on and we do do short term purchases in what we call quarter 3 and quarter 4. just to cover, you know, our existing customers. >> and that's why we'd be procuring the recs this year,

right? >> yes. this is a lower than normal water year and we've had some outages. >> right. >> thank you very much. >> anybody have any questions? yes, commissioner moran. >> on the -- on page 12 of the presentation where you talk about the cost limitation proposal. >> yes. >> and you have $100 per megawatt hour. >> yes. >> which is twice what the penalty level is that was set by the cpuc for pg&e. >> yes. >> what is the thinking as to why we doubled that? why do we choose to have a twice what the cpucd? >> one is a penalty is one is a cost limitation. it could certainly be lower if you prefer a lower -- to cap the amount the puc will pay at a lower level, we could. it was really just -- we're

just providing that as a benchmark for you to understand sort of some of the context in which we're proposing this number. >> and the market for renewables ranges from currently what to what? >> it's also about 30 to 50 megawatt premium on top of the brown power. brown power price. >> so, 30 do $50 per megawatt hour premium? >> yes. >> and this says that it would be market -- in case of an adverse market which is probably when we would most likely need to buy this stuff, it gives us some price flexibility there. >> right. to the extent that we are low on hydro -- california is low on hydro, and, so, market prices are going to be up overall as a result. >> thank you. >> what is the impact of the deductions on solar utilization? have we measured that? tax deductions that are -- >> have we measured that? we certainly realize that it

lowers the cost. >> right. >> and that's why we pursued a third-party for our development of the sunset solar project. >> okay. >> and didn't fund it ourselves. i can't recall off the top of my head, maybe you do, todd, what the -- mr. reedstrom, what the financial impact of that was for us. >> it was pretty significant. by way of comparison, the tax credit, tax credit financing that we successfully undertook for current sunset solar brought the average cost per kilowatt hour down to 23-1/2 cents. that compares to average costs of our hydro system. all the costs included of about 9 cents. so, without the tax credit federal financing as well as the state programs, it would have been over 30 cents kilowatt hour. >> you need to take credit for that. >> we have a line item -- >> that's why i try to raise some of these issues because when you and the work that this agency has been doing, i am so proud of the fact that the cost

saving that ultimately go to the rate payer, we need to talk about. if we're going to get your trumpet so you can blow your horn, we'll do that. you should be commended because you've been taking into account, you've been a steady steward of the process and look what it's producing for the rate payer here in san francisco. i'm sure most jurisdictions, knowing some of the mayors in those other jurisdictions, i don't think they've had as good a record as we've had here in san francisco. i want to say thank you. i think it's important to bring it out into the public view. >> thank you. it's definitely a team effort. a lot of detail. >> no question it's a team effort. my comments were directed to the team. any other comments? we don't need to accept anything. [speaker not understood]. >> there's no action. >> right, no action necessary. i guess there is an action necessary to go into executive session, closed session. >> thank you. >> any public comments before we move into closed session? all right, we need a motion to assert the attorney/client privilege.

>> move to assert the attorney/client privilege. >> second. all those in favor signify by saying aye. >> aye. >> all right. >> closed session items, >> let the record show that the private session [inaudible]. >> i would like to make a motion not to disclose -- [inaudible]. >> [inaudible]. >> aye. >> [inaudible].

[adjourned] approval of the minutes until we get a quorum. i'dcgñ?ñ? like to open it up now to public$qñ?ñ? comments/

and i would like, when you come, also, the request i had made a couple of meetings ago about your staff, i meant a staff member you have, and i want to know how many have been hired, that live in bayview hunters point. and i would like to know the ratio of the staff here at puc. because i'm getting complaints, and i'm getting concerns of people -- you know, they won't call you but they call me because they think i can do something about it. so i want you to come so you be prepared, and you don't have to bring a bodyguard because we're not going to let them9pñ?ñ? beat you

up. we want you to hear what our concernslññ?ñ? are. if one of your commissions would like to6jñ?ñ? come i will be more than happy for you to come and hear so you can understand the complaints of bayview hunters point. thank you so very much. you have a blessed day. >> president torres: i will be happy to escort mr. kelly. >> harlan kelly: we'll work out ao5ñ?ñ? schedule. >> president torres: mr. costamñ?ñ? mr. costa. >> we have a president that will be president for the next four years. and i say this because if you do not get it, meaning, you know, the party that the president belongs to if we do not listen to the minorities, and if wellcerx do not listen to what is happening

in our nation and if we don't have the ability to take the pulse of what is happening in our smaller communities then we know what's going to happen. so having said that, always, for the lastá fostered working with grassroots. the last time i was here in a meeting and a couple of meeting came and started talking about the local business enterprise. so i had a lot of patience. but i did go to committee the committee being committee, that holds meetings within the human rights commission, and i'm going to throw out some names, one is

miguel and the other one is mr. reuben santana, both my good friends. nothing whatsoever went to that committee19ñ?ñ?. some people can say whatever they want to, but i don't like when people lie. that's number one. number two i try to explain to you there's going to be a lot of changes within the human rights commission. so if the city administrator now is going to have jurisdiction over those things, we need to do it in a manner where, with"xñ?ñ? the sewer system improvement project saying that backwards, butlññ?ñ? we are fair with the constituents whok"sbs+pç live in san francisco. and quhulñ?ñ?ñ when i say fair, i

mean seriously we cannot wait for the 11th hour to bring people on board to do the work. we need training, we need skilled workersíg;[w k? @&c @&c"p% we/,>$x giving people jobs fordxñ?ñ? two or three weeks. i'm talking career jobs. all of you all knowzñ?ñ? this. we have some good commissioners. they all know them. so what i'm saying is if you focush( jobs, that will be apprec açár2 and i thank you for your time. >> president torres: thank you very much. any further publicgúnnymñ comments? please identify+qe >> andrewwú5grrvç lipset. i'm coming before you again to ask how we are looking at things --elç mr. costa he wants jobs but looking at it as a ratepayer. if we keep the rates as low as

possible wfy&&u,ó don't needoñ?ñ?ñ to -- it's kind of a balancing act. is we can't push&xñ?ñ? jobs too far ahead of where the rates are. this is already here, that we're paying these rates,< /p want to make sure that our rates stay as low as possible. and i 3xra!z%ñ don't see how we are considering looking at each way we're doing our projects to make sure we are getting the lowest possible costjó á$ for the best bang. we're just not seemyyh:ç if you look at the way things are going, we have = of jobséxñ?ñ? through that are getting a little concerning in terms ofn÷ñ?ñ?ñ cost. and we haven't seen follow-through, where we've just had a large break@0tnvañ in sunnydale. we haven't seen the report as to what's actually wac%2 pökjcçw-zyñif thatnññ?ñ?ñ a manufacturing defect, was a construction defect was that something -- that waso-f9íp+bv part of the project that was supposed to last 50 years and it didn't last

that long|]mdó not nearly long enough. so i'm --=ylvba9áuáu seems that we're not necessarily looking at some of the smallerbeh t issues that are what's visible to at least us as?í yratepayers. >> president torres: thank you very much. >> thank you. >> president torres: any further public comment? pleaseemew9úeu)tk yourself. >> my name is robert wood. i'maîvú with the black human rights leadershipf uñh&ñ council.=pñ?ñh7 {[ úód and we have a problem in our community, and the problem is it has gone past the dire need. our community is crippled out there. we're crippled. we need drug programs. we need to get -- put a)= drug program in place, justqgñ?ñ? to get

them ready to work, to get themmpñ?ñ? ready to meet,agñ?ñ? what is required for them to be a productive person on the streets,kw/9 san francisco, with the income is what itucñ?ñ? is. and when you look at what the community -- what the average income inyqç.

ready,9zñ?ñ? to get where they can even start3lexxw9ñ the work, to be productive. if not, only thing you do, givtvb them months, and next thing you know, they'll beiîtx streets dealing with an undergroundmj ñ and underground economy is live andó÷h]ww'í well. we ask you to not only just think about th% as jobs is ñ?ñ? concerned, but put a jobsgó6zcgççñ?ñ? program in the community that you can get them ready for(ñ?ñ?ñúzh it. that's after they get cleaned up. so i'm not saying that everybody's out there on drugsïk&c"p% no. there's some folks out there that really want a job, but they can't get]i l% one. we can't whistle past the graveyard no"7pk3ym#lñ?ñ? more. they are awake and they know that you're coming out ñ?ñ?ñ? third street and you know they comingí÷ñ?ñ?ñ

out third street. but if they can qualify for a job you're5u5kdv about to cripple thisivñ?ñ? community and gentrification will set in.pnñ?ñ? so we ask you to please help the community. thank you. >> president torres: thankn:ñ?ñ? you. well put. any further public ñ?ñ? comments? >> eric brooks representingk÷ñ?ñ? san francisco green party and theri5fgwb local grassroots organization, ourboñ?ñ? city. you probably remember a couple of weeks ago we had ag;á major water problem ñ?ñ? out at treasure island, and it became necessary to test the water#y&w(r there toueñ?ñ? make sure it was safe for people to continue drinking it. and t;>8 the reason i bring this up is that this dovetails with another problem you've probablyt#orucf seen in the papers around treasure island and that is that the navy recentlyç9o that there is a possibility of much more radiocontamination therekf;4ç than theymyñ?ñ? had thought

previously. there's been a lot of controversy,hñ?ñ and debate both on the state level and on the city level about this. notably when many of us/e7jkyé wentowñ?ñ? to board hearings about the budget and finance and;uñ?ñ?ñ said look, this is serious you need to put on the brakes and really make sure you identifyi #;>z all%ñ?ñ? the radioactive problems out there, and one of the things that waspoñ? highlighted by treasure island residents and??ñ?ñ?3 environmental organizers is that the water needs to be checked not just for microbe+=)qí&z4÷ñ?ñ? which is probably who sf puc did but check form=! yát(ur+eñu outrageously, the staff response to those statements around checking themu ) at treasure islandyñ?ñ? is either green or brown by the way is -)g739xzrñ?ñ that oh, we don't have to worry about radiation getting into the pipes because the pipes have water inuu1 úík them, that's under pressure and so nothing can leak in.(

commissioner moran's not here but he would be first onevá tell you that that's añeñ?ñ? ludicrous assertion. because when you had a problem $ñ the one we had a couple of weeks ago the water pressure goes away and materialsvxc of the pipes can leak in through cracks. so i was hoping that you folksçximqp could contact staff, and if they still have the water samples thatdmqmn they took to follow up on thatñsñ?ñ?ñ accident, please hold onto themtvtl see if they can do a wider spectrumir contaminants and radiation. there are going to be other tests that hopef3mm of ñ?ñ? supervisors will be mandating to follow up and do a much better jobmñ?ñ? on scoping out what's going on at treasure island. but that might be anxlñ?ñ? opportunity, if you still got those 1ñ to test those as well and see if there's any problem. thanks. >> president torres: anylñ?ñ? further public comment? there being none would you call the!0ek

>> secretary hood: presidentzy=$ torres,pqñ?ñ?ñ here, vice president courtney, kñ?ñ? here, vice president caen. >> president torres: we havezdñ?ñ?ñ a quorum. accepting thepyksj minutes from theiiñ?ñ october 23rd meeting, we'll entertain a motion moved by commissioner courtney, seconded+vñ?ñ? by commissioner caen. those in favor signal by saying aye. >>r >> president torres: minutes ñ?ñ? are approved. communicates, we have a list of communicationsñ?ñ? that have occurred to the commission. item no. 6 is the adoption of theñ?ñ?

>> again, it's a pleasure and honor for usjáñ?ñ? to honor san mateo county supervisor rose jacob gibson. i would ñ?ñ? like to read a little bit from this resolution that we're presenting to you:ññ?ñ? today. the san francisco public utilities commission is pleased to recognize you for your distinguished service on thenúñ?ñ?

san mateo county board of supervisors for the past 13 years. throughout your remarkable career, and i mean ?ñ? remarkable career, you have shown leadership vision,?yw]9,n4"ow)l+ww and÷ñ?ñ? enhanced growth and prosperity in the peninsula bay area. you've performed outstanding]ñ?ñ?ñ collaborative work with the puc, and especially on our water?lói] v&j regionally. you proved unfailing support for our small firm adviñ?ñ?sory committee, which expand the outreach of lb's and small and microbusinesses add made significant increases to the bidding pool resulting in cost savings to our ratepayers. and finally, your commitment in empowering at-risk youth under the san mateo county job training program prepared them]dñ?ñ? to become apprentice on the puc

regional construction projects. therefore, be it resolved we hereby commend honor and# you, again, thank you supervisor for the achievement and the extent of our congratulations and best wishes to you on the occasion of your retirement. thank you very much. >> [applause.] >> wow(aráfp wqém(@>3(oñ?ñ. >> thank you verysçñ?ñ? much. i'm very much humbled andthñ?ñ? surprised by the recognition. i greatly appreciate all of you.)uñ?ñ? it's good to see you haven't forgot the privilege of meeting each of you but i have the pleasure of knowing art torres. good to see you. >> president torres: good to see you >> wonderful to be here)ññ?ñ? ñ?ñ?c/ñ?ñ?ñ?ñjñ?ñ?yñ?ñ?]hñ?ñ?5f

-- we were working in the'ññ?ñ? gardens in the right of way. our relationship has grown and it has become stronger overvñ?ñ? the years. and i have really haveçñ?ñ? appreciated the willingness to work with, and expand[iñ?ñ? and work and -- throughout the region. so i]tñ?ñ? greatly appreciate the relationship that we actually have. i'm hoping that!jñ?ñ? it will continue. i would certainly -- having a conversation withgçñ?ñ? the incoming supervisors so that he'spcñ?ñ?ñ aware of benefits of the actually working with the sf puc amkcjk we continue the improvement project, especially but also because there are going to be -- there are likely to be other

opportunities i know that there are some things in eastñ?ñ? palo alto had a have not been discussed or agreed upon but were there discussion as relates to0yñ?ñ? water needs and also some of thebyñ?

>> everyone knows we don't really ever retire. >> president torres: yes. if you come up, we'll take a picture with you and the commission.

pngetsz thank you supervisor. please continue. >> so the next item is a update of the clean power sf, barbara hill. >> good afternoon commissioners. barbara hale, assistant general manager for power. i have distributed and available on the table our latest timeline

of activities for clean power sf. one item i want to draw your attention to is that, today we will be asking you later in the agenda to approve the implementation plan that's required under state law to be filed at the california public utilities commission. we already had one filed and approved. now that we have modified the program identified our counterparty who will be providing our full requirement supply, we need to revise the filed plan and that is item 16 on the agenda today. so that's one of the early items in the timeline that i distributed. i also wanted to give you a preview of the materials we'll be going over at the joint meeting, between the puc and lafco that's on november 30. wanted to give you an

opportunity to preview it. we will be asking you to take action on november 30, on our customer notification and education plan, and to release the remaining fund for our communications contract. so what i have before you is -- i think very consistent with the direction you've given us and with the amended legislation, the amended program. so the customer notification and education plan that we are developing is based on the market research and community engagement that we've already conducted. it inc. rates this new -- incorporates this new component of early notification period. this early notification period is intended to be consistent with mayor lee's direction with